The produce section at the South Country Co-op's Northlands grocery location in Medicine Hat is pictured. --SUBMITTED PHOTO
cgallant@medicinehatnews.com@CollinGallant
The AGM is on hold, and it’s been the busiest weeks in the history of South Country Co-op, but administrators have announced that patronage cheques – totalling $11.9 million – are on the way to members of the co-operative retailer.
Paul Haynes, CEO of the southern Alberta food, fuel and ag supply retailer, told the News that the workforce has moved mountains to help customers, shore-up and stock its own deliveries and comply with public health orders since COVID-19 was declared a pandemic this month.
“We can say that cheques are in the mail – all our members will receive all their patronage (payment) from 2019 in the coming days and we think that’s a big positive for people in some tough times,” said Haynes.
Tough times have also meant a flurry of work to do keeping up with demand, arranging larger than normal deliveries, plus adjusting to requirements to limit physical contact between staff and customers. Food stores have instituted one-way aisles, for example, among other measures and sanitation processes ramped up.
Haynes said additional employees have been hired, and adjustments are made daily, but “the days are getting better.”
“It definitely changes the way we do business,” he said, crediting a “gutsy” effort from staff and customer understanding for easing the process.
“They’re the ones showing up every day. What can you say except ‘hats off’?”
And Haynes says initial stress is lifting, essentially on the food supply system.
“We’re still seeing large demand in food stores – there’s lots of food, but a real gap between what would be considered normal (purchasing habits) and what was in the supply pipeline over the last two to three weeks,” he said.
“But I think in the next week to 10 days we’re gonna see that come back in line, and we’ll start to catch up.”
All facilities are still open, but some product limits have been put in place, specifically a cap of one-month’s supply for pharmaceuticals.
The patronage cheques that will arrive in the mail soon relate to the 2019 financial year, which would typically be detailed at the entity’s AGM, held each year in March.
This year’s meeting was to be held on March 25 in Vauxhall, but instead details are being publicized in the Medicine Hat News, while a new proposed AGM date is May 26 – but if needed alternate arrangements will be made.
“If not we’ll come up with another alternative,” said Haynes, adding that online voting for new board directors – approved at last year’s AGM – will be extended to one week prior to the news and that voting will also be extended into mid-May.
“It was a challenging year in the Agro division, but overall, South Country Co-op still had a very good year,” said Haynes.
Last year, a record patronage allocation of $17.6 million was recorded due mostly to a ballooning profit margin at the Co-op refinery in Regina – where the local retailer earns patronage from wholesale fuel purchases. The previous year’s patronage was $12 million.
The $11.5 million released this year is a dividend to members and a portion is allocated to their specific share of retained equity.
